VRYBURG – The national government will spend R2.67 trillion in the 2026/27 financial year, with the majority of funds directed towards education, healthcare and social protection.

Delivering the 2026 Budget Speech in Parliament, on Wednesday, 25 February 2026, Finance Minister Enoch Godongwana confirmed that spending remains strongly redistributive, with over 60 percent of non-interest expenditure allocated to the social wage over the medium term.

An additional R5 billion has been set aside in a contingency reserve to respond to disasters declared since the Medium-Term Budget Policy Statement (MTBPS).

Education, Health and Social Protection Lead Spending

Basic education, health services and social protection will make up 70.3 percent of the social wage in 2026/27.

Government support will reach:

• 13.6 million school children through basic education funding

• 84 percent of the population through public healthcare services

• 26.5 million beneficiaries through social grants

Social Grants Increased

Social grants have been allocated R292.8 billion for the 2026/27 financial year, with several increases announced:

• The old age grant, disability grant, and care dependency grant will increase by R80 to R2 400in April 2026.

• The war veterans grant will rise by R80 to R2 420.

• The foster care grant will increase by R40 in April to R1 290, and by a further R10 in October to R1 300.

• The child support grant and grant-in-aid will increase by R20 to R580.

The Minister said these allocations demonstrate government’s continued commitment to supporting vulnerable households amid ongoing economic pressures.

The 2026 Budget places strong emphasis on sustaining social protection while balancing fiscal stability, with the social wage remaining the cornerstone of public spending.

-The VIP Team 

-National Treasury